(LEAD) S. Korea vows to thoroughly prepare for destabilizing factors

SEOUL, Dec. 20 (Yonhap) -- South Korea will make thorough preparations for any destabilizing factors after the U.S. raised interest rates, a senior official said Thursday.

Lee Ho-seung, the first vice minister of economy and finance, also said in a meeting with relevant officials in Seoul that a possible hike in market rates in South Korea is something that households and companies can cope with.

South Korea's overall household debt reached a record 1,514 trillion won (US$1.34 trillion) as of September.

He made the remarks after the U.S. Federal Reserve raised rates to a range of 2.25 percent to 2.50 percent, leaving the difference between Seoul and Washington's rates at wider 0.5-0.75 percentage point.

In November, the Bank of Korea raised its key rate by a quarter percentage point for the first time in a year to 1.75 percent.

A wider rate spread between the two countries has sparked concerns over possible foreign capital outflow from Korea, but foreigners have kept a net inflow of their funds into South Korea.

In the January-November period, foreigners bought a net 14.2 trillion won worth of South Korean bonds, while selling a net 6.8 trillion won worth of local stocks.